Annualised total returns

[iwik]

I've been a long time user of MS Money to manage a personal portfolio, and in general have been fairly happy with it. When I started using it, it was one of the few things around which handled multiple currencies, and have had little need to change. However, MS have forced that!

After a lot of searching I've settled on FundManager. Anything Money could do, FM seems to handle with consummate ease, and the support forums are second to none. I've got part of the portfolio loaded as a test, and am now in the process of migrating the rest.

One thing I haven't been able to duplicate is Money's ability to report an effective annualized return of an investment, including both distributions (dividends etc), and changes in capital value. I have found an annualized yield report option, but this only covers distributions, and not value changes. There are total returns over defined periods (last x months/years etc), but these are not annualized.

Have I missed something here, and/or is there some way this can be achieved.

Regards - Andrew

[Mark]

Hi Andrew,

Thanks for the note, glad you found Fund Manager. It sounds like you are looking for the ROI Yields. These are true returns that are time and money weighted. They factor in when you bought/sold, and how much you paid/received. They also include distributions and market gains/losses. You have control over whether or not ROI yields are annualized or not. By default when an ROI yield is reported for a term less than 1 year the number is not annualized, and for terms longer than 1 year the number is annualized. However, if you want all ROI yields annualized turn on both these options under "Options / General Preferences... / Yields":

Annualize Yields for Terms Less Than One Year
Average Annualize Yields for Terms Greater Than One Year

You can find ROI Yields in many places in Fund Manager, including in the Portfolio Performance report, the ROI Yield report, a Custom report, in the Portfolio Editor, or above graphs.

If you'd like to read the details on how ROI Yields are calculated, please see:

http://www.fundmanagersoftware.com/help/yields_roi.html

[iwik]

Thanks Mark - That does sound what I'm looking for. I'll go and have a play.

Andrew